Drilling Commenced at Maravilha Diamond Project
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TSX-V STAR
Market Release
23 May 2018
FIVE STAR DIAMONDS
LIMITED
Av. Jornalista Ricardo Marinho,
360
Ed. Cosmopolitan - Sala 113,
CEP 22631-350
Barra da Tijuca - Rio de Janeiro
Brazil
Tel: +55 8 9200 6264
Contact:
Joe Burke, GM Marketing
Rajan “Raj” Rai
+1 778 835 9200
Directors / Officers:
Matthew Wood
Jeremy South
Luis Azevedo
Aneel Waraich
Max Jahn
Gizman Abbas
Nicholas Pike
TSXV: STAR
DRILLING COMMENCED AT
MARAVILHA DIAMOND PROJECT
Toronto, ON - Five Star Diamonds Limited (TSXV: STAR) (the
“Company” or “Five Star Diamonds”) is very pleased to announce
that the Company has commenced drilling at its Maravilha
Diamond Project (“the Project”), located in Brazil.
The focus of the drilling programme is on the companies 100%
owned M3 kimberlite pipe where bulk sampling has returned
exceptional early sampling results.
The drilling program will utilize two drill rigs working on a single
daily shift. Approximately 3,200 meters of diamond core drilling,
distributed across approximately 30 drill holes, is planned in the
programme. All drill holes will be drilled using a HQ (63.5mm)
diameter to provide ample material for further diamond sampling
and analysis.
Core logging and recovery rates are being conducted by Five Star
field crew. The core is also being submitted to magnetic
susceptibility readings and chemical assays. All the core is being
photographed and a drilling database is being constructed to
enhance additional geological modelling
Previous interpretation of a ground magnetic survey undertaken by
the Company shows that the M3 kimberlite pipe has a strong
magnetic response suggesting an ovoid shape measuring
approximately 130 by 65 meters with the major axis aligned along a
northeast to southwest direction.
The Company also previously announced exceptional early results
from an initial bulk sampling program to test the M3 kimberlite pipe.
A total of 658 macro and microdiamonds were recovered in the
program.
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Planned drilling at the M3 Kimberlite at Maravilha Diamond Project
Drilling underway on Maravilha Diamond Project
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Next Steps
The Maravilha Diamond Project comprises three mineral properties covering a total of
1,233.17 hectares and the Company is conducting a systematic exploration program,
including detailed ground magnetic survey and auger drilling, with the aim of identifying
additional kimberlites bodies in the Project.
As soon as the drilling program is completed on the Maravilha Diamond Project, the drill
rigs will be mobilized to commence a new drilling program on the Company’s Catalao
Diamond Project, located in Goias State, Brazil.
ABOUT FIVE STAR DIAMONDS
Five Star Diamonds is listed on the TSX Venture Exchange under the ticker symbol
STAR. The Company controls a dominant and highly enviable position in the Brazilian
kimberlite diamond sector owning 23 diamond projects comprising an aggregate of 50
exploration licences and applications across 130,355 hectares.
To date, the Company has conducted exploration programs on seven projects with the
Catalao, Maravilha, Riachao, Jaibaras and Verissimo Projects proven to contain diamond-
bearing kimberlites.
Five Star Diamonds is focused on acquiring and developing advanced staged diamond
projects in Brazil. Since it was established, it has pursued an accelerated growth strategy
and aims to be one of the first producers of diamonds from kimberlite deposits in Brazil.
The Company is focused on the development of sustainable kimberlite pipes and is not
involved in alluvial diamond mining with its associated environmental issues. The
Company works closely with local, state and federal authorities in Brazil to foster an open,
transparent and legal diamond industry in Brazil.
This release is an update by the Company on its 100% owned Maravilha Diamond Project.
It is expected that the company will be able to provide further update on this and other
Projects over the coming months and we look forward to keeping shareholders informed
of our progress as we move towards building a truly unique Brazilian Diamond Company.
Qualified Person
Mr Paulo Ilídio de Brito
BSc Geology
Mr. Paulo de Brito is a geologist based in Brazil, has over 30 years of experience in the
mining industry, dealing primarily with gold, copper, nickel, iron, industrial minerals and
more recently diamonds. Mr. Brito is a Principal of consulting group Brasgeo and was
until recently Exploration Manager of Paringa Resources Limited. Previously, he worked
as a senior geologist with WMC Resources Ltd for 18 years until the closure of their
activities in Brazil in 2002.
The exploration activities and their related results included in this announcement were
directly supervised and managed by Mr. Brito. According to Mr. Brito, all exploration
work carried out to date on the Projects mentioned in this release follow clear mining
industry standards.
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Mr. Brito, is a member of AIG (Australian Institute of Geoscientists), a professional
geologist of CREA-RJ (Conselho Regional de Engenharia e Agronomia do Estado do Rio de
Janeiro) and a Qualified Person as defined in National Instrument 43-101. Mr. Brito
reviewed and approved the scientific and technical information contained in this press
release.
On behalf of the Board
Five Star Diamonds Limited
Matthew Wood
Chairman of the Board
Cautionary Note Regarding Forward-looking statements
Information set forth in this news release contains forward-looking statements. Although the Company believes that
such statements are reasonable, it can give no assurance that such expectations will prove to be correct. The Company
cautions investors that any forward-looking statements by the Company are not guarantees of future results or
performance, and that actual results may differ materially from those in forward looking statements as a result of
various factors, many of which are beyond the Company’s control. Such factors include, among other things: variations
in the nature, quality and quantity of any mineral deposits that may be located, significant downward variations in the
market price of any minerals produced, the Company’s inability to obtain any necessary permits, consents or
authorizations required for its activities, to produce minerals from its properties successfully or profitably, to continue
its projected growth, to raise the necessary capital or to be fully able to implement its business strategies. Accordingly,
actual and future events, conditions and results may differ materially from the estimates, beliefs, intentions and
expectations expressed or implied in the forward-looking information. Except as required under applicable securities
legislation, the Company undertakes no obligation to publicly update or revise forward-looking information.
NEITHER TSX VENTURE EXCHANGE NOR ITS REGULATION SERVICES PROVIDER (AS THAT TERM IS
DEFINED IN THE POLICIES OF THE TSX VENTURE EXCHANGE) ACCEPTS RESPONSIBILITY FOR THE
ADEQUACY OR ACCURACY OF THIS RELEASE.
For further information, please contact:
Five Star Diamonds Limited
Joe Burke, GM Marketing
Rajan “Raj” Rai
+1 778 835 9200